The Annotated Putin: 'State Of The Nation' Dissected

President of Russia Vladimir Putin: Members of the Federation Council, State Duma deputies, citizens of Russia,

Today’s Address is primarily devoted to matters of domestic social and economic development. I would like to focus on the objectives set forth in the May 2018 Executive Order and detailed in the national projects. Their content and the targets they set are a reflection of the demands and expectations of Russia’s citizens. People are at the core of the national projects, which are designed to bring about a new quality of life for all generations. This can only be achieved by generating momentum in Russia’s development.

These are long-term objectives that we have set for ourselves. However, work to achieve these strategic goals has to begin today. Time is always in short supply, as I have already said on numerous occasions, and you all know this all too well. There is simply no time for getting up to speed or making any adjustments. All in all, I believe that we have already completed the stage of articulating objectives and outlining tools for achieving our goals. Departing from the targets that were outlined would be unacceptable. It is true that these are challenging objectives. That being said, lowering the requirements for specific targets or watering them down is not an option. As I have already said, these are formidable challenges that require us to undertake major efforts. However, they are in step with the scale and pace of global change. It is our duty to keep pushing ahead and gaining momentum.

If someone prefers to work in the business as usual mode, without challenges, avoiding initiative or responsibility, they had better leave immediately. I already hear that some things are “impossible,” “too difficult,” “the standards are too high,” and “it will not work.” With such an attitude, you had better stay away.

Besides, you cannot fool the people. They are acutely aware of hypocrisy, lack of respect or any injustice. They have little interest in red tape and bureaucratic routine. It is important for people to see what is really being done and the impact it has on their lives and the lives of their families. And not sometime in the future, but now. We must not repeat the mistakes of the past decades and wait for communism to arrive. We have to change the situation for the better now.

Therefore, the work of the executive branch at all levels should be coordinated, meaningful and energetic. The Government of Russia must set the tone.

At the same time, I would like to emphasize and repeat: our development projects are not federal and even less so agency-based. They are national. Their results must be visible in each region of the Federation, in every municipality. It is here, on the ground, that the majority of specific tasks is implemented.

Allow me to underscore: thanks to years of common work and the results achieved, we can now direct and concentrate enormous financial resources – at least enormous for our country – on development goals. These resources have not come as a rainfall. We have not borrowed them. These funds have been earned by millions of our citizens – by the entire country. They need to be applied to increase the wealth of Russia and the wellbeing of Russian families.

Very soon, this year people should feel real changes for the better. It is on the basis of their opinion and assessments at the beginning of next year that we will evaluate the first results of our work on the national projects. And we will draw the appropriate conclusions about the work quality and performance at all levels of executive power.

Colleagues,

Let me now share some specifics on our objectives. I will begin with the key objective of preserving our nation, which means providing all-around support to families.

Family, childbirth, procreation and respect for the elderly have always served as a powerful moral framework for Russia and its multi-ethnic people. We have been doing everything in our power to strengthen family values and are committed to doing so in the future. In fact, our future is at stake. This is a task shared by the state, civil society, religious organisations, political parties and the media.

Russia has entered an extremely challenging period in terms of demographics. As you know, the birth rate is declining. As I have already said, this is caused by purely objective reasons, which have to do with the immense human losses and birth dearth experienced by our country in the 20th century, during the Great Patriotic War and the dramatic years following the dissolution of the Soviet Union. This does not mean, however, that we must accept this situation or come to terms with it. Definitely, not.

We succeeded in overcoming the negative demographic trends in the early 2000s, when our country faced extreme challenges. This seemed to be an impossible challenge at the time. Nevertheless, we succeeded, and I strongly believe that we can do it again by returning to natural population growth by late 2023 – early 2024.

Today, I wanted to talk about a new package of measures that has already been prepared to support families.

First, it is important that having children and bringing them up do not put families at the risk of poverty or undermine their wellbeing. As you know, we have already provided for the payment of subsidies for the first two children until they reach 18 months. Benefits for the first child are paid from the federal budget, and families can use the maternity capital subsidy for obtaining benefits for their second child. The size of the subsidy depends on the regional subsistence level for a child. It may vary from 8,000 rubles in Belgorod Region, for example, to 22,000 rubles in Chukotka Autonomous Area, with the national average of over 11,000 rubles a month per child. Currently these allocations are reserved to families whose income does not exceed the subsistence wage multiplied by 1.5 per person. It is time that we make the next step.

Starting January 1, 2020, I propose raising the bar to two subsistence wages per family member. This is what people have requested and these requests come directly into the Executive Office. This measure will increase the number of families entitled to additional benefits by almost 50 percent. Some 70 percent of families with one or two children will be able to benefit from help from the Government.

Second. At present, carers looking after children with disabilities and people disabled since childhood receive an allowance of only 5,500 rubles. I suggest increasing this to 10,000 rubles, starting July 1. Of course, I understand that it is still a small amount. However, it will be an additional measure of support for families with a child who needs special care.

Third. The income of Russian families must, of course, increase. This is a serious task that requires a comprehensive solution. I will speak about this in greater detail later. But we need direct measures. First of all, the tax burden on families needs to be relieved. The approach should be very simple: the more children there are, the lower the tax. I propose increasing federal tax relief on real estate for families with many children. I also propose lifting taxes on 5 square metres in a flat and 7 square metres in a house per each child.

What does this mean? If, for example, right now, 20 square metres in a flat are not subject to tax, the new measure will mean that for a family with three children, an extra 15 square metres will not be subject to tax. Regarding plots of land that belong to families with many children, I propose that 600 square metres should be exempt from tax, and this means most plots of land will be free from taxation. Let me remind you that this benefit is already available to pensioners and people of pre-retirement age. Of course, in many Russian regions there are local tax benefits on land and property for large families. However, the benefit being imposed at the federal level guarantees that it will be available everywhere in the country. I want to ask regional officials to propose additional tax measures to support families with children.

Fourth, the Government and the Central Bank need to consistently maintain the policy to lower mortgage rates to 9 percent, and then to 8 percent or below, as stipulated in the May 2018 Executive Order. At the same time, special measures of support should be provided for families with children, of course. As a reminder, last year, a preferential mortgage programme was launched for families that have had their second or subsequent child. The rate for them is 6 percent. Anything higher is subsidised by the state. However, only 4,500 families have used the benefit.

The question is why. It means that people are somehow dissatisfied with the proposed conditions. But it is also clear why. A family making a decision to buy housing certainly makes plans for a long or at least medium term, a lasting investment. But with this programme, they take out a loan, start paying the instalments, and the grace period ends. The interest is actually subsidised only for the first 3 or 5 years. I propose extending the benefit for the entire term of the mortgage loan.

Yes, of course, it will require additional funding, and the cost will be rather high: 7.6 billion rubles in 2019, 21.7 billion rubles in 2020, and 30.6 billion rubles in 2021. But the programme is estimated to reach as many as 600,000 families. We certainly need to find the money. We know where to get it. We have it, and we just need to use it in the areas that are of major importance to us.

And one more direct action solution. Considering the sustainability and stability of the macroeconomic situation in the country and the growth of the state’s revenues, I consider it possible to introduce another measure of support for families having a third and subsequent children. I suggest paying 450,000 rubles directly from the federal budget to cover this sum from their mortgage. Importantly, I propose backdating this payment starting January 1, 2019, recalculating it and allocating relevant sums in this year’s budget.

We have come close to guaranteeing universal access to kindergartens, but by the end of 2021, we will have to resolve the problem with nurseries by enabling them to accept 270,000 more children, including in the private sector, with 90,000 places to be created as early as this year. The federal and regional budgets should allocate 147 billion rubles for this purpose, over a three-year period. Let me add that enrolling in a nursery group, kindergarten, getting subsidies, benefits or the tax deductions that I have already mentioned and, I hope, that we will come up with, together with you, all this should happen without any additional applications, excessive paperwork or having to visit various social services. By the end of 2020, all the key government services must be provided in a proactive format where a person will only need to send in a request for a service that he or she needs, and the system will take care of all the rest independently and automatically.

I would like to emphasise that the package of measures to support families proposed today is not an exhaustive list of initiatives. It sets the priorities. Considering the challenges posed by the state of Russia’s demographics, we will continue to channel more and more resources into this area. I ask all of you, colleagues, including both the Government and the Federal Assembly, to think about it and suggest solutions.

Colleagues, solving our demographic problems, increasing life expectancy and reducing mortality rates are directly related to eradicating poverty. Allow me to remind you that in 2000, there were more than 40 million people living below the poverty line. Now there are about 19 million, but this is still too many, too many. However, there was a time when their number dropped to 15 million, and now it has grown a little again. We must certainly focus our attention on this — on combating poverty.

Furthermore, there are even more people facing serious financial problems than those officially living below the poverty line. They are forced to cut spending on such essentials as clothes, medicines and even food. Those most often faced with poverty are large or single parent families, families with members with disabilities, as well as single pensioners and people who cannot find a good job, a well-paid job because there are no openings or they lack qualifications.

There are many reasons for poverty, not only in our country, but also in the world, but it always literally crushes a person, dimming their life prospects. The state must help people, help them out of difficult life situations. The experience of some of our regions shows that it is possible to work effectively for this. I will name these regions: Kaluga, Ulyanovsk, Tomsk, Vologda, and Nizhny Novgorod Regions, and a number of other regions of Russia. Their experience shows that so-called social contracts can be a working mechanism of such support.

Moving on, there are currently many people and families taking out loans for various purposes, including consumer loans. Of course, borrowers have to be aware of their obligations and refrain from assuming an excessive burden. That being said, anything can happen: people can lose their job or become ill. In this case, the last thing is to force people into a corner, and it is also pointless in economic terms. Additional legal guarantees are needed to protect people. I propose introducing mortgage payment holidays, as we have recently discussed in Kazan, to enable people who lose their income to suspend mortgage payments. They must get a chance to keep their home, if it is the only property they own, and postpone loan payments. This is not an easy task, and we have to understand how this can be done so as not to harm financial institutions while supporting the people. This can be done, however.

I also ask the Bank of Russia and law enforcement agencies to put things right without delay in the microlending segment and protect people from fraud or extortion by dishonest lenders.

Let me emphasise that as we seek to overcome poverty and develop the social security net, we need to reach every family in need and understand the problems it faces. It should not be possible to refuse assistance simply because the life circumstances a person is facing are slightly inconsistent with the criteria set by a programme.

I would like to emphasise that all those who work in the social sphere or join the government or municipal services in order to help people resolve their urgent problems, must meet the highest professional standards. I believe by and large this is the case. Of course, this is a very complicated job. We all understand that working with people every day, from morning until night, is indeed difficult. But if you have this job you should realise that it is no less important to understand people, to know what they feel, empathise, share their worries and concerns and never permit yourself arrogant attitudes or a lack of respect for people, either in word or deed. I would like you to always remember this.

Colleagues,

The next important subject is healthcare. I know that, on the one hand, its current state seems to be improving, and medical treatment is becoming more accessible. Nevertheless, many people are not satisfied. It is easy to understand the reasons for this. As a rule, people judge the healthcare system by its primary component, that is, outpatient clinics and paramedic stations. People voice complaints with regard to their work. Quite often, they have to wait many days to see a specialist, and it is impossible to quickly undergo the required tests free of charge. People in remote communities are even having trouble getting appointments with medical personnel. Yes, the number of paramedic stations and mobile medical units continues to increase, but people in areas where there are no such facilities care nothing about the overall statistics.

This year, the regions began adopting a new system of solid municipal waste management. However, if the only change is a rise in rubbish clearance prices – well, this is not real work; it is a sham. People need to see what they are paying for and what real changes are happening. It is necessary to restore order in this area, to get rid of shady businesses that do not bear any responsibility and only get super-profits dumping trash at random sites.

We need to build a civilised and safe system of waste treatment, recycling and disposal. Surprisingly, a year ago I personally had to interfere on some matters. I had to talk to the Interior Ministry and the Prosecutor’s Office several times. You know, surprisingly, I would like to say it again, almost nothing moved forward until I gave an order to station a guard there and not to let anyone in. This is the only way it works, because these shady companies, the so-called fly-by-nights, they just make quick profits and shut down their so-called business.

I ask the Russian Popular Front to ensure effective public control here, including reliance on public environmental inspectors. Their signals regarding any violations must be considered by the authorities, who must adopt specific measures. In the next two years, 30 large problem landfills within city boundaries must be closed and rehabilitated, and in six years, all the rest. At the same time, it is necessary to increase the share of waste treatment from today's 8–9 percent to 60, so as not to accumulate new millions of tonnes of trash.

Finding solutions for environmental problems is the job of our researchers and people in industry. Each of us is responsible for this. I am urging young people, among others, to take a more active part in this work. We must hand over to the future generations an environmentally safe country and preserve Russia’s natural potential as well as its specially protected areas. This year new national parks will open in the republics of Daghestan, Komi and Sakha (Yakutia), Altai Territory and Chelyabinsk Region. However, I would like to draw your attention to the fact that many specially protected areas do not yet have precise borders and their regulations are not observed.

I have instructed the Ministry of Natural Resources to conduct a detailed audit. All sanctuaries must be registered in the cadastre. It is also necessary to adopt a law according to which only environmental tourism can take place in nature reserves, without any withdrawal of territories, wood cutting or major construction work. Naturally, it is necessary to take into account the interests of the locals but these issues should be resolved in a package.

Colleagues, the number of students from small towns and remote areas studying at the best Moscow and regional universities is increasing. According to international assessments, our elementary, middle and high school students demonstrate good results in the humanities and hard sciences. We can see it ourselves, based on the results of contests and various student competitions. All this is an indicator of qualitative changes in our school education.

However, despite all these achievements, we must not overlook the obvious problems in this crucial area. The share of schools with modern study conditions has increased from 12 percent in 2000 (only 12 percent) to 85 percent in 2018. But even today, some 200,000 children still go to schools where there is no proper heating, water supply and sewage system. Yes, it is less than 1.5 percent of all schoolchildren, but when their parents see these conditions, any words about justice and equal opportunities only irritate them. I want to draw the attention of the heads of the regions where poorly equipped schools still exist. This problem can be completely resolved within two years. We can do it. I know that the Government is thinking about it and making certain decisions. I am asking you to support the regions that lack their own resources.

When in 2006 we started providing internet connections to schools, the technology was completely different. You know, it seemed like a real breakthrough. And it was indeed a breakthrough at the time. Right now, this technology seems ancient, and we have new tasks to resolve. By the end of 2021, all Russian schools must have a high-speed internet connection rather than just a connection. Let me remind you that in 2006, when schools were being hooked up to the internet, the recommended speed was 128 kbps. Now we need 50 Mbps or 100 Mbps, which is at least 400 times higher. This will help our kids to gain access to lessons and lectures by prominent teachers, to contests and Olympiads; it will allow them to significantly expand their capabilities and get involved in online projects with their fellow students from other regions and countries. The content of educational programmes must also change. The national standards and programmes must reflect the priorities of the country’s science and technology development, while the federal lists of recommended textbooks must include the best of the best books.

More than 70 million people work in manufacturing, agriculture or the services or are small business owners. The state of Russia’s economy has a direct bearing on their income, wellbeing and confidence in the future. The primary tool for achieving steady wage increases is to promote quality employment and free enterprise, qualified, well-paid jobs in all regions, including both traditional and new sectors. High economic growth rates are essential. This is the only way to overcome poverty and ensure steady and perceptible increases in income. This is the key to success. As soon as in 2021, Russia’s economic growth rate must exceed 3 percent and stay above the global average afterwards. This objective should not be discarded.

I would like to emphasise that access to state contracts must be equal (at least for our own, for national companies), and the orders should go to those who prove their sustainability with hard work and results, with willingness to change, to introduce advanced technology and increase labour productivity, and offer the best competitive products.

I am instructing the Government to create the most comfortable conditions for private investment in technological startups and to involve development institutions in their support. I am asking members of parliament to promptly pass the laws that are most crucial for creating the legal framework of the new digital economy, laws that will allow to close civil deals and raise funds using digital technology, to develop e-commerce and services. The entire Russian legislation must be geared up to reflect the new technological reality. These laws must not restrict the development of innovative and promising industries but push this development forward.

One more thing. I think everybody will agree that our massive natural resources constitute our natural advantage. They need to be used for increasing the production of organic produce. I am instructing the Government to create a protected brand for clean products, a brand that will guarantee safety of the technology used and win the reputation of high quality both on the domestic and foreign markets. Trust me, it will be extremely popular abroad. There is hardly anything clean left there.

Colleagues, to achieve the ambitious goals facing the country, we must rid the system of everything that restricts freedom of enterprise and business initiative. Honest businesses should not face the risk of criminal or administrative prosecution. I have already noted this matter in one of my Addresses, and I have cited the relevant figures. Unfortunately, the situation has not improved much.

Today, almost half of all cases (45 percent) opened against entrepreneurs do not get to trial. What does this mean? This means that they were opened in a slipshod manner or under some unclear pretext. And what does this mean in practice? As a result, 130 jobs are lost on average every time a business closes down as result of an investigation. Let us think about this figure; this is becoming a major economic problem.

The business community points to a number of legislative and law enforcement problems. I agree that we need to closely analyse the criteria under which all employees of a company can be considered to be part of a group that is guilty of collusion just through the fact of working for that company. To be honest, this is complete nonsense, but, unfortunately, it happens time and again. And this leads to a stricter detention during the investigation and a more substantial penalty later on. Additionally, we need to strictly limit the grounds for extending the term of detention during the investigation of so-called economic criminal cases. Today, this sometimes happens without any grounds, simply because the investigators had no time to conduct the required expert checks or as a result of delays in the investigation.

We have discussed this matter with the Prosecutor General and the President of the Supreme Court. This is what happens: a person is kept behind bars, and he has not been summoned for questioning for several months. The prosecutor wants to know why he had not been questioned, and they tell him that the investigator was on holiday. Of course, investigators, especially those at the Interior Ministry, handle a tidal wave of criminal cases, and we need to do something about that, we need to take a closer look at this matter. Perhaps we should set aside additional resources and increase the number of investigators. Nevertheless, how can this be explained? A person is kept behind bars while the investigator has left on holiday and has not questioned him for several months. This should not happen, we need to sort this out. I ask the Supreme Court and the Prosecutor General’s Office to analyse all these problems once again and to submit their proposals.

I suggest that our business associations and the Agency for Strategic Initiatives create a special digital platform – in fact, they themselves have advanced this initiative – which entrepreneurs will use to make public any instances of pressure on business and to demand a formal court hearing.

When we discussed this issue, many of our colleagues said honestly that they were terrified. Yes, this is scary, but the problem does exist. It will not be an easy job. The files are really thick in some areas and departments. They have been piling up for decades since the Soviet era, or even “as far back as Ochakov and the Crimean war.” [The quote is from Alexander Griboyedov’s Woe from Wit written in 1824.] I am not referring to the year 2014, of course. (Laughter) Some of these documents go back to the time of Alexander Griboyedov or even before him. So much has been written and regulated. But frankly, I doubt that even the personnel of these agencies know everything that is written in these documents. Hence, we must complete their analysis within two years. There is nothing to fear. We must roll up our sleeves and do it, keeping or updating only the documents we really need to properly organise our activities.

Colleagues, infrastructure upgrades need to be accelerated using state-of-the-art technology. This is essential for enhancing a country's connectivity, and especially for Russia, the world’s largest country with its vast territory. This is essential for strengthening statehood, unleashing the country’s potential and driving national economic growth.

This year, the railway section of the Crimean Bridge will be launched, and will become a powerful impetus. I would like to take this opportunity to thank all the construction and railway workers. We saw that a bypass railway was built near Krasnodar alongside an approach railway to this junction from the Caucasus coast. As I have said, trains will begin using the Crimean Bridge in 2019, creating a powerful development driver for Crimea and Sevastopol.

In addition to this, the expressway linking Moscow and St Petersburg is expected to be completed, creating new business opportunities and jobs for people living in Novgorod, Tver, Leningrad and Moscow regions.

More than 60 airports will benefit from upgrades over the next six years, including international airports in Khabarovsk, Yuzhno-Sakhalinsk and Petropavlovsk-Kamchatsky.

In 2025, the throughput capacity of the Baikal-Amur Mainline and Trans-Siberian Railway will grow 1.5 times, reaching 210 million tonnes, which is very important for the development of Siberia and Russia’s Far East.

Let me reiterate that key indicators related to social and economic development and quality of life in all Russia’s Far Eastern regions are expected to exceed the national average. This is a national cause, and a major priority of our efforts to promote Eastern Siberia and the Far East as strategic territories. All agencies have to constantly keep this in mind.

We are seeing that global competition is increasingly shifting to science, technology and education. Just recently, it seemed inconceivable that Russia could make not just a breakthrough but also a high-tech breakthrough in defence. This was difficult, complex work. Much had to be restored or started from scratch It was necessary to break new ground and find bold, unique solutions. Nevertheless, this was done. It was done by our engineers, workers and scientists, including very young people that grew up with these projects. Let me repeat that I know all the details of this large-scale effort and I am completely justified in saying, for instance, that the development of the Avangard strategic hypersonic glide vehicle is tantamount to the launching of the world's first artificial satellite. And not just in terms of enhancing the country’s defence capability and security, although this is the primary goal, but in influencing the consolidation of our scientific potential and the development of unique technological assets.

The Sirius educational centre in Sochi is becoming a true constellation. The plan was for centres supporting gifted children, based on its model, to open in all regions by 2024. But our colleagues said they can finish this work early, within two years. Such proactive efforts deserve praise.

I think every national project has reserves for increasing the pace. I expect that our companies and the business community will get involved in such projects as Ticket to the Future that provides school pupils in their sixth year and above with the opportunity to discover their career interests and intern at actual companies, research centres and other places.

I want to speak directly to our young people. Your talents, energy and creative abilities are among Russia’s strongest competitive advantages. We understand and greatly value this. We have created an entire system of projects and personal growth competitions in which every young person, from school to university age, can show what they are made of. These include ProeKTOriYA, My First Business, I Am A Professional, Russian Leaders and many others. I want to stress that all this is being created for young people to take advantage of these opportunities. I urge you to take a chance and use them, be bold, realise your dreams and plans, do something of value for yourself, your family and your country.

Colleagues, Russia has been and always will be a sovereign and independent state. This is a given. It will either be that, or will simply cease to exist. We must clearly understand this. Without sovereignty, Russia cannot be a state. Some countries can do this, but not Russia.

We also hope that the European Union and the major European countries will finally take actual steps to put political and economic relations with Russia back on track. People in these countries are looking forward to cooperation with Russia, which includes corporations, as well as small and medium-sized enterprises, and European businesses in general. It goes without saying that this would serve our common interests.

The unilateral withdrawal of the USA from the INF Treaty is the most urgent and most discussed issue in Russian-American relations. This is why I am compelled to talk about it in more detail. Indeed, serious changes have taken place in the world since the Treaty was signed in 1987. Many countries have developed and continue to develop these weapons, but not Russia or the USA – we have limited ourselves in this respect, of our own free will. Understandably, this state of affairs raises questions. Our American partners should have just said so honestly rather than make far-fetched accusations against Russia to justify their unilateral withdrawal from the Treaty.

It would have been better if they had done what they did in 2002 when they walked away from the ABM Treaty and did so openly and honestly. Whether that was good or bad is another matter. I think it was bad, but they did it and that is that. They should have done the same thing this time, too. What are they doing in reality? First, they violate everything, then they look for excuses and appoint a guilty party. But they are also mobilising their satellites that are cautious but still make noises in support of the USA. At first, the Americans began developing and using medium-range missiles, calling them discretionary “target missiles” for missile defence. Then they began deploying Mk-41 universal launch systems that can make offensive combat use of Tomahawk medium-range cruise missiles possible.

How are we evaluating the situation in this context? I have already said this and I want to repeat: Russia does not intend – this is very important, I am repeating this on purpose – Russia does not intend to deploy such missiles in Europe first. If they really are built and delivered to the European continent, and the United States has plans for this, at least we have not heard otherwise, it will dramatically exacerbate the international security situation, and create a serious threat to Russia, because some of these missiles can reach Moscow in just 10–12 minutes. This is a very serious threat to us. In this case, we will be forced, I would like to emphasise this, we will be forced to respond with mirror or asymmetric actions. What does this mean?

I am saying this directly and openly now, so that no one can blame us later, so that it will be clear to everyone in advance what is being said here. Russia will be forced to create and deploy weapons that can be used not only in the areas we are directly threatened from, but also in areas that contain decision-making centres for the missile systems threatening us.

The work on promising prototypes and weapon systems that I spoke about in my Address last year continues as scheduled and without disruptions. We have launched serial production of the Avangard system, which I have already mentioned today. As planned, this year, the first regiment of the Strategic Missile Troops will be equipped with Avangard. The Sarmat super-heavy intercontinental missile of unprecedented power is undergoing a series of tests. The Peresvet laser weapon and the aviation systems equipped with Kinzhal hypersonic ballistic missiles proved their unique characteristics during test and combat alert missions while the personnel learned how to operate them. Next December, all the Peresvet missiles supplied to the Armed Forces will be put on standby alert. We will continue expanding the infrastructure for the MiG-31 interceptors carrying Kinzhal missiles. The Burevestnik nuclear-powered cruise missile of unlimited range and the Poseidon nuclear-powered unmanned underwater vehicle of unlimited range are successfully undergoing tests.

In this context, I would like to make an important statement. We did not announce it before, but today we can say that as soon as this spring the first nuclear-powered submarine carrying this unmanned vehicle will be launched. The work is going as planned.

Today I also think I can officially inform you about another promising innovation. As you may remember, last time I said we had more to show but it was a little early for that. So I will reveal little by little what else we have up our sleeves. Another promising innovation, which is successfully being developed according to plan, is Tsirkon, a hypersonic missile that can reach speeds of approximately Mach 9 and strike a target more than 1,000 km away both under water and on the ground. It can be launched from water, from surface vessels and from submarines, including those that were developed and built for carrying Kalibr high-precision missiles, which means it comes at no additional cost for us.

On a related note, I want to highlight that for the defence of Russia’s national interests, two or three years ahead of the schedule set by the state arms programme, the Russian Navy will receive seven new multipurpose submarines, and construction will begin on five surface vessels designed for the open ocean. Sixteen more vessels of this class will enter service in the Russian Navy by 2027.

To conclude, on the unilateral withdrawal by the USA from the Treaty on the Elimination of Intermediate-Range and Shorter-Range Missiles, here is what I would like to say. The US policy toward Russia in recent years can hardly be called friendly. Russia’s legitimate interests are being ignored, there is constant anti-Russia campaigning, and more and more sanctions, which are illegal in terms of international law, are imposed without any reason whatsoever. Let me emphasise that we did nothing to provoke these sanctions. The international security architecture that took shape over the past decades is being completely and unilaterally dismantled, all while referring to Russia as almost the main threat to the USA.

I would like to emphasise again that we need peace for sustainable long-term development. Our efforts to enhance our defence capability are for only one purpose: to ensure the security of this country and our citizens so that nobody would even consider pressuring us, or launching an aggression against us.

Colleagues, we are facing ambitious goals. We are approaching solutions in a systematic and consistent way, building a model of socio-economic development that will allow us to ensure the best conditions for the self-fulfillment of our people and, hence, provide befitting answers to the challenges of a rapidly changing world, and preserve Russia as a civilisation with its own identity, rooted in centuries-long traditions and the culture of our people, our values and customs. Naturally, we will only be able to achieve our goals by pooling our efforts, together in a united society, if all of us, all citizens of Russia, are willing to succeed in specific endeavours.

These parameters for development breakthroughs cannot be translated into figures or indicators, but it is these things – a unified society, people being involved in the affairs of their country, and a common confidence in our power – that play the main role in reaching success. And we will achieve this success by any means necessary.

Thank you for your attention.